Builder To Pay Fine, Condo Buyers

November 05, 2004|By DANIELA ALTIMARI; Courant Staff Writer

WEST HARTFORD — The builder of a luxury condominium complex long vexed by problems has agreed to pay a total of $535,000 to buyers who were forced to seek temporary shelter elsewhere while the problems were resolved.

Pinnacle Communities Ltd. also will pay a $170,000 fine to the state and set aside $15,000 to fund improvements to the condominiums, under the terms of a settlement announced Thursday by Attorney General Richard Blumenthal.

``This is a message for unscrupulous companies who exploit the American dream of homeownership and make it a nightmare,'' Blumenthal said. ``My wish was that this kind of inexcusable failure never would occur.''

A call to Pinnacle's New Jersey headquarters was not returned.

The settlement comes more than 18 months after problems at condominiums first surfaced. The complex, called Promenade at the Reservoir, is located just off Farmington Avenue, across the street from the Metropolitan District Commission reservoir.

The settlement applies to one of the development's four buildings. That building, which includes 36 units, was beset by a number of serious problems, including building and fire code violations that prevented buyers from moving in for months. There were also defects in the fire suppression system.

Pinnacle also failed to provide promised amenities, including concierge service and free satellite television, Blumenthal said.

In many cases, buyers had sold their homes and were ready to move into their new condominiums, which sold for $230,000 and up. But the various problems prevented that, and the buyers had to live in hotels for months, spending thousands of dollars and placing their furniture and other belongings in storage.

The homeowners finally were permitted to move in last January, when the town issued certificates of occupancy.

The settlement agreement, which was negotiated by Blumenthal's office together with state Department of Consumer Protection Commissioner Edwin R. Rodriguez, covers 26 buyers, 16 of whom currently live in the building. Some buyers chose not to participate or held separate talks with the builders.

Lou Fleisher, a resident of the complex, said he was pleased with the settlement.

``I'm thrilled with the way the attorney general handled the situation,'' said Fleisher.

Blumenthal's office also is investigating another building in the complex, where residents have complained about inadequate soundproofing and other problems.